In this article we tell you what is, and what is not part of your travel insurance coverage on a basic policy.
What Does Travel Insurance Cover?
Be wary when purchasing travel insurance. Some plans only cover trip cancellation and travel delays, while other policies only cover medical expenses. Look for a comprehensive travel insurance policy if yo want full coverage for all contingencies. Make sure you read the fine print, so you fully understand what is and what is not covered. Then match various offerings with your budget, and level of risk you are willing to endure.
Trip cancellation Insurance
One never plans to cancel a trip, otherwise why even book it in the first place. But as we all know, $5it happens! The state calls you up for jury duty, you or another member of the traveling party gets sick or is in an accident. The reasons to cancel a trip are plentiful, and sometimes you simply decide not to go.
Trip cancellation insurance generally pays you back 100% of the monies you have prepaid that are nonrefundable, such as airline tickets, ground transportation and hotel costs at the destination. Check to see if it also covers any activities you may have prepaid, such as tours or other events.
If you have been sufficiently frightened by the government scare plandemic known as Covid, then look for a policy that covers you in case you get the virus just before a trip.
Note that insurance cannot be claimed on any amount that is refundable, so keep track of what is refundable and what is not, and only pay for the coverage you need on the refundable part. No sense paying for insurance on something they will not pay you for.
Travel Delay Insurance
This insurance covers you for any extra costs you incur while traveling, due to delays. This covers items like snacks and any needed personal hygiene articles, and if yo are stranded long enough, may cover meals, taxi ride and hotel rooms.
Trip Interruption Coverage
If for some reason during your trip you need to cut it short, this insurance covers those nonrefundable prepaid items like tours, hotel nights, non used airline or other transportation ticket costs, etc. It may also include the purchase of a one way return ticket, depending on the reason for cancellation.
Baggage and Personal Item Loss / Delay Insurance
Arriving at your destination, only to discover your bags have been delayed or lost (or stolen), is a bummer. This coverage covers the costs of the bags, and the contents inside. But not replacement value, but actual and reasonable actual value. If you bought a whole new, never used, wardrobe for your trip, then you may be covered, but bringing any used items will only pay pennies on the dollar. Also note that unless you bump the coverage, the amounts paid on lost bags is generally capped at a low amount. So if you plan on bringing anything expensive, make sure yo have enough coverage.
But what is the bags are not lost/stolen, but only delayed? Then this coverage should take care of anything you need until they arrive, maybe a winter coat because you went somewhere cold, and personal toiletries to keep you clean while you wait.
Travel Medical /Emergency Evacuation Insurance
If yo are traveling within your country, this is probably not needed, unless you local HMO charges outrageous fees for out of network services, but international travel generally is not covered by your health insurance policy.
Travel medical services include Doctor and hospital visits, rides in ambulances, and other bills associated with the accident or illness while on abroad, whether for vacation or simply living outside your home country. You may want to make sure there is medical rescue coverage, should you need to be air evacuated back to your home country, especially if yo are visiting a third world country where quality services are not available, or a remote area with little to no services at all.
For the older traveler, note that Medicare does not cover yo outside the USA, and again, for those who fear Covid, make sure to get a policy that explicitly covers you in case you catch the virus.
And because of the plandemic, many foreign countries are now requiring proof of medical coverage before entering the country. Lots of folks were stranded when countries blocked travel with others due to the coof.
Cancel “for any reason” Coverage
Maybe you need to cancel for reasons not listed in the basic package. Make sure to get this rider if you sometimes simply flake out and have no valid medical or emergency reason to cancel a trip. But remember that this costs extra, and also generally only covers 75% of the non-reimbursable prepaid costs, not the full 100% you invested. So choose wisely, and don’t book with flakes. Expect to bump your insurance costs by 50% or more. Ugh.
What is NOT covered by Travel Insurance?
Many common items are not covered by travel insurance. Always read the policy details to know ahead of time what will be, and not be reimbursed in case of claim.
Planning to do some sky diving or parasailing while visiting Mexico? Any resulting accident will most likely not be covered, ans these are considered high risk activities. Most likely SCUBA diving will be exempted as well. Problems caused if you are drunk or otherwise intoxicated on illegal drugs will keep you from getting paid.
And since you usually cannot prove that it has been lost or stolen, forget about any cash being given back to you. I always try to use credit cards for as much as possible, and only carry the amount of cash I need for the day, leaving the rest in the hotel safe, or in the form of travelers checks.
Are you traveling to a foreign country to get some medical work done? Many folks go the Mexico for dental work, because it is much less expensive. Do not expect to be reimbursed those fees from your medical travel insurance coverage. That is only for unplanned accidents and other illnesses.
